JITF Infra Logistics Ltd Management Discussions

Global economy overview

After navigating a period of elevated trade barriers and persistent uncertainty, the global economy now faces renewed pressure from the ongoing conflict in the Middle East. Assuming the situation remains contained, global growth is projected to moderate to 3.1% in 2026 before improving marginally to 3.2% in 2027. Inflation is expected to rise modestly in the near term before easing again, with emerging and developing economies likely to experience sharper growth slowdowns and more persistent inflationary pressures. 1

The global outlook remains fragile, with risks stemming from prolonged geopolitical conflicts, renewed trade tensions, financial market volatility, and weakening institutional confidence. While accelerated AI- driven productivity gains and easing trade tensions could support growth, rising defence spending and geopolitical fragmentation may intensify inflationary and fiscal pressures. In such an environment, policy agility, credible governance, and stronger international cooperation will be critical to sustaining stability and building long-term economic resilience.

Indian economy overview

India reaffirmed its position as the worlds fastest-growing major economy in FY26, with GDP growth estimated at 7.4%, driven by strong domestic consumption and sustained investment activity. According to the Economic Survey 2025-26, Indias GDP is expected to grow at 6.8 - 7.2% in FY27, with long- term growth potential estimated at around 7%. Domestic demand remained the cornerstone of economic expansion, supported by low inflation, stable employment conditions, and improving purchasing power. Rural consumption benefited from favourable agricultural performance, while urban demand strengthened gradually following the rationalisation of direct and indirect taxes. Investment activity also remained resilient, with Gross Fixed Capital Formation estimated at 30% of GDP and growth in the first half of FY26 exceeding both last years levels and the pre-pandemic average.

61.5%

The share of Final Private Consumption Expenditure (PFCE) in GDP is expected to increase to 61.5% in FY26.

30%

Gross Fixed Capital Formation (GFCF) is estimated to account for approximately 30.0% of GDP.

3.1%

The agriculture and allied sectors are estimated to grow by 3.1% in FY26

Domestic demand remained the key driver of Indias economic growth in FY26, supported by resilient private consumption, stable inflation, improving employment conditions, and stronger purchasing power. Rural demand benefited from healthy agricultural performance, while urban consumption improved following tax rationalisation measures, resulting in broad-based consumption-led growth across the economy. Investment activity also remained strong, with Gross Fixed Capital Formation estimated at around 30% of GDP Investment momentum accelerated during the first half of FY26, supported by sustained infrastructure spending and improving business activity.

The agriculture and allied sectors are estimated to grow by 3.1% in FY26, aided by a favourable monsoon and resilient growth in livestock and fisheries. Meanwhile, the industrial sector demonstrated steady improvement, with manufacturing and construction benefiting from robust demand, public capital expenditure, and infrastructure development. Overall industrial growth is projected at 6.2% during the year. The services sector continued to anchor economic expansion, recording broad-based growth across segments and remaining the largest contributor to overall GVA growth in FY26.2 Indias domestic consumption

Indias domestic consumption continued to gain momentum in FY2025-26, reaffirming its position as the primary driver of economic expansion. Private Final Consumption Expenditure (PFCE) is estimated to grow at 7.7% in FY26, a meaningful acceleration from 5.8% in FY25, with its share in nominal GDP rising to 56.7%, according to the Second Advance Estimates released by the National Statistics Office. Q3 FY26 saw a further recovery with PFCE rising to 8.7% after moderating to 8% in Q2, signalling that the consumption recovery is gathering pace. Complementing this, Gross Fixed Capital Formation accelerated to 7.1% in FY26 from 6.4% in FY25, reflecting early signs of a private investment pickup riding on stronger consumer demand. Leading economists have affirmed that private consumption remains the defining growth driver this fiscal, with the FY27 outlook remaining healthy. For the Company, this structural improvement in domestic demand underpins volume growth, supports pricing power, and reinforces the long-term consumption fundamentals across its operating categories.3

Engines of Indias economic growth4

Digital public infrastructure: Indias expanding digital public infrastructure (DPI) is facilitating faster adoption of the digital economy by all. With DPIs like UPI and DigiLocker providing more transparency, convenience, and ease of use, more and more citizens and businesses are integrating digital services into their routines. Further, DPIs such as GeM and ONDC are also empowering MSMEs by providing them access to digital platforms to sell their goods and services both in India and overseas.

22.6 billion

Unified Payments Interface (UPI) transactions recorded in Mar26 (27% y-o-y growth)

Growing talent base: Indias workforce continues to strengthen through a rapidly expanding talent pool, supported by the addition of over 2.5 million STEM graduates each year. This growing pool of skilled professionals is reinforcing the countrys position as a global technology and innovation hub. Reflecting this momentum, India today contributes nearly 16% of the worlds AI talent pool, marking a three-fold increase since 2016.

6+ million

People are employed across the technology and AI ecosystem, as of Feb26

Growing focus on Indias MSME sector. Indian MSME sector continues to play a vital role in Indias economic growth, contributing nearly 31.1% to the countrys GDP and serving as a key driver of employment, entrepreneurship and industrial development. Reinforcing its commitment to strengthening the sector, the Government increased the FY27 budgetary allocation for MSMEs to USD 2.6 billion, marking an almost 6% year-on-year growth and reflecting a sustained focus on enhancing the MSME ecosystem.

1,73,350

MSMEs actively engaged in global export markets in FY25 (3.3x increase from FY21)

India is emerging as the new destination for Global Capability Centres (GCCs): Indias GCC ecosystem continues to witness strong momentum, with over 1,700 centres currently employing nearly 1.9 million skilled professionals across engineering, R&D, analytics, design and digital operations. Driven by rising global demand for technology-led capabilities and innovation-driven services, the sector is expected to expand significantly, reaching nearly 2,400 GCCs and generating employment for more than 2.8 million professionals by 2030. The market is also projected to grow to approximately USD 105 billion, reinforcing Indias position as a global hub for talent, technology, and enterprise transformation.

400+

Number of new GCCs established in the last five years (till 2025)

Outlook

Indias economic outlook remains resilient, supported by strong macroeconomic fundamentals and broad-based demand. Real GDP and GVA are projected to grow by 7.4% and 7.3% respectively in FY26, driven by robust agricultural performance and improving urban consumption. Indias medium-term growth remains stable, with FY27 growth expected in the range of 6.8%-7.2%. Inflation has moderated significantly, with average headline inflation at 1.7% during April-December 2025, among the lowest levels recorded. The RBI has revised its FY26 inflation forecast to 2.0%, supported by favourable agricultural output, while IMF estimates remain moderate for FY26 and FY27. Looking ahead, inflation is expected to remain benign, providing a stable macroeconomic environment conducive to sustained economic growth and investment.

Indian water and water management industry

Indias water challenge is one of scale and arithmetic. The country supports close to 18% of the worlds population but holds only about 4% of its freshwater resources, making it one of the most water- stressed large economies in the world. Average annual per-capita water availability, already within the “water-stressed” band, has been declining steadily, from roughly 1,486 cubic metres in 2021 toward a projected 1,341 cubic metres by 2025 and about 1,140 cubic metres by 2050, uncomfortably close to the 1,000-cubic-metre scarcity threshold.

The demand-supply outlook sharpens the picture. NITI Aayogs Composite Water Management Index has estimated that roughly 600 million Indians face high-to-extreme water stress, that around 200,000 lives are lost each year to inadequate access to safe water, and that by 2030 the countrys water demand could be twice its available supply, a gap associated with a potential loss of up to 6% of GDP. The same body of work has flagged that a number of major Indian cities face acute groundwater depletion in the coming years. India is also the worlds largest user of groundwater, drawing more than a quarter of the global total, with the majority of irrigation and the bulk of drinking-water supply dependent on aquifers that are being drawn down faster than they recharge.

For the Company and its peers, this scarcity is the defining structural driver of demand: water security has moved from a local civic concern to a national economic and policy priority, and the response is being expressed as sustained public capital expenditure on water infrastructure across drinking water, irrigation, wastewater and industrial effluent treatment, precisely the segments in which the Company operates.

India ranks among the larger global markets for water and environmental technologies, with independent estimates consistently indicating double-digit growth, though figures vary by scope and methodology and should be seen as indicative rather than exact. The India water treatment market was estimated at approximately USD 2.3 billion in 2024, with projections to grow from around USD 2.5 billion in 2025 to about USD 7.0 billion by 2035 at a CAGR of roughly 10.6%. Similarly, the water and wastewater treatment market was valued at about USD 1.5 billion in 2022 and is expected to grow at around 11.2% annually through 2030. The water and wastewater treatment technology market is projected to reach approximately USD 3.27 billion in 2026 and grow to around USD 5.17 billion by 2031, at a CAGR of about 9.6%. In 2025, municipal applications constitute the majority, at about 58%. Adjacent segments are showing comparable momentum: water treatment chemicals, valued at about USD 0.68 billion in 2025, and micro-irrigation systems, estimated at roughly USD 786 million in 2026, are anticipated to expand to USD 1.3 billion by 2031. The underlying drivers across these trends are the combined impact of urbanization, industrial growth, stricter environmental regulations, and large government initiatives, collectively fostering a sustained, multi-year surge in demand for water infrastructure and services.

Public investment: the sectors principal demand engine

Because water is a State subject under the Constitution, delivery is shared between the Union and the States, but the Union government sets the strategic and financial direction through the Ministry of Jal Shakti and the Ministry of Housing and Urban Affairs. In the Union Budget for FY 2025-26, the Ministry of Jal Shakti was allocated about ?99,503 crore, a substantial increase over the previous years revised estimate. Within this, the Department of Drinking Water and Sanitation received about ?74,226 crore (including ?67,000 crore for the Jal Jeevan Mission and ?7,192 crore for Swachh Bharat Mission-

Grameen), while the Department of Water Resources received about ?25,277 crore (including ?3,400 crore for Namami Gange-II). On the urban side, AMRUT was allocated about ?10,000 crore and SBM- Urban about ?5,000 crore, and the Budget announced a ?1 lakh crore Urban Challenge Fund covering, among other things, city water and sanitation. This public spending is channelled through four flagship pillars that map directly onto the Companys addressable market.

Jal Jeevan Mission (Har Ghar Jal): Launched in August 2019, the Mission had, as of 22 October 2025, provided tap water connections to more than 15.72 crore rural households, over 81% of rural homes, up from just 3.23 crore (about 17%) at inception, an addition of some 12.48 crore connections in six years. Eleven States and Union Territories have reported 100% household coverage. With a central outlay of about ?2.08 lakh crore, the Mission has been extended to 2028 as “JJM 2.0,” with the emphasis shifting from new connections toward the quality of infrastructure, long-term operation and maintenance of rural piped water schemes, and citizen participation (“Jan Bhagidari”). Fresh funds continue to flow: in April 2026, the Centre released about ?1,561 crore to five States under JJM 2.0. This transition from build-out to sustained service delivery and O&M is a meaningful shift in the nature of demand.

Urban water and sanitation — AMRUT 2.0.: Launched on 1 October 2021 with an indicative outlay of about ?2.77 lakh crore, AMRUT 2.0 targets universal household water-supply coverage across all 4,378 statutory towns and 100% sewerage/septage coverage in 500 AMRUT cities, built around a “circular economy of water.” Progress has been substantial: by December 2025, over 6,000 projects worth more than ?830 billion had been undertaken, translating into more than 4,700 MLD of new sewage-treatment capacity, around 21,700 km of sewer network and over 1,400 MLD of reuse-oriented capacity. The Missions design deliberately embeds reforms to meet 20% of water demand through recycled water, reduce non-revenue water to below 20%, and rejuvenate water bodies.

River rejuvenation and used-water management, Namami Gange: Under the Namami Gange Programme (Phase II), the total commissioned sewage-treatment capacity reached 3,976 MLD across 173 STPs by the third quarter of FY 2025-26, with the National Mission for Clean Ganga targeting a cumulative sanctioned capacity of 7,000 MLD by December 2026. A defining feature of recent awards is the Hybrid Annuity Model (HAM), which bundles construction with 15 years of operation and maintenance and shifts payment toward performance, reflecting a broader move from asset creation to life-cycle accountability and outcomes.

Irrigation — Pradhan Mantri Krishi Sinchayee Yojana (PMKSY): Continued to FY 2025-26 with an outlay of about ?93,069 crore, PMKSY had benefited more than 27 million farmers and developed over 24.6 million hectares by August 2025. Its “Per Drop More Crop” component has brought about 110.92

lakh hectares under micro-irrigation, roughly 8% of the net sown area, and is supported by a Micro- Irrigation Fund whose corpus has been doubled to ?10,000 crore. In April 2025 the Government approved a new Modernisation of Command Area Development and Water Management sub-scheme with an initial outlay of ?1,600 crore to build pressurised piped-irrigation networks and cut conveyance losses. Irrigation coverage of the gross cropped area rose from 49.3% to 55% between FY2016 and FY2021, per the Economic Survey, yet micro-irrigation coverage of roughly 17 million hectares, against a potential of about 70 million hectares, points to a long runway for piped and precision irrigation.

The structural opportunities in wastewater and reuse

The single largest structural gap, and therefore opportunity, lies in used-water management. India generates on the order of 72,000 MLD of urban sewage, but installed capacity treats only about 37%, and actual treatment is lower still at roughly 28%. Independent monitoring has found that even existing capacity is under-utilised: of roughly 1,261 STPs with a capacity of about 30,001 MLD, only around 56% is effectively used to treat municipal sewage. This mismatch is driving a policy pivot from simply adding treatment plants toward intercepting pollution at the source, setting defined reuse targets, and ensuring long-term O&M, a shift the sector increasingly describes as moving from building assets to unlocking resource value.

Industrial demand reinforces the trend. Falling per-capita freshwater availability has made Zero Liquid Discharge (ZLD) a commercial necessity rather than a compliance formality in water-intensive clusters such as textiles (Tiruppur) and leather (Kanpur), with recycled effluent increasingly fed back as process water. Coastal desalination is also emerging as a supplementary source, with large plants under way in Tamil Nadu and elsewhere.

Key trends shaping the sector

Several themes are reshaping how projects are structured and won, and are directly relevant to the Companys strategy:

• Circular economy of water and reuse: Reuse targets are now written into flagship programmes (AMRUT 2.0s 20% recycled-water goal; the “Jal Hi AMRIT” reuse incentive), moving treated water from a disposal problem to a revenue-bearing resource.

• Life-cycle procurement, HAM, DBOT and annuity models: Contracts increasingly bundle design, build and 15-plus years of O&M under a single structure, rewarding performance over throughput and favouring integrated players with in-house design and long-horizon execution capability.

• Digitalisation: SCADA, IoT sensors, GIS mapping, real-time compliance dashboards and digital- twin/BIM tools are being embedded in new schemes to reduce non-revenue water and improve asset performance.

• From connections to service delivery: With JJMs coverage near-universal, the emphasis is turning to sustained 24x7 supply, water quality and O&M, extending revenue visibility beyond the construction phase.

Outlook

The medium-term outlook for the sector is underpinned by both scarcity and sustained fiscal commitment. Bridging Indias projected 2030 supply gap has been estimated to require investment on the order of ?20 lakh crore, signalling a demand pool far larger than current annual spending. The direction of policy was reaffirmed in the Union Budget for FY 2026-27 (presented on 1 February 2026), which earmarked about ?2,16,654 crore for water supply, sanitation, and river conservation, and set the Jal Jeevan Mission budget estimate at about ?67,670 crore.

A holistic water-management firm with in-house design, engineering, and execution across various treatment sectors and group-level pipe supply faces a large, underserved treatment gap, a shift to integrated contracts, and government funding. Key sector risks include the states subject status for water, causing delays; budget execution gaps; urban local bodies financial and operational challenges; underperforming treatment assets; and climate variability affecting sources.

Indian Waste Management and Waste-to-Energy Industry

Indias municipal solid waste (MSW) management sector is being reshaped by rapid urbanisation, rising incomes and changing consumption patterns. The Central Pollution Control Board (CPCB) recorded an average daily solid waste generation of about 170,338 tonnes per day (TPD) in 2021-22, of which only around 91,512 TPD was formally treated. On a national basis, India generates roughly 62 million tonnes of MSW a year, growing at about 4% annually, and this is projected to rise to as much as 165 million tonnes by 2030. Per-capita urban waste generation, historically around 0.34 kg per person per day, is estimated to have roughly doubled to about 0.7 kg by 2025.

The core issue is processing, not collection. Over 90% of municipal waste is collected, but only about half is properly treated, creating a gap between collection and processing. Daily, around 30,000 TPD, about a fifth of MSW, goes unprocessed and ends in overloaded landfills. Additionally, a legacy waste stock of around 15 crore tonnes sits on 14,000 acres of urban land, with only a small portion remediated. This, along with rising waste, limited landfill space, stricter regulations, and a push for a circular economy, drives demand for scientific waste processing and energy recovery, which is the environment in which the Company operates.

Estimates of the global waste market vary widely based on how broadly “waste” is defined, serving as indicative figures rather than exact measures. The narrow waste-to-energy (WtE) sector was valued at around USD 1.5 billion in 2024, with projections reaching up to USD 2.0 billion by 2030-33 at a CAGR of approximately 2.6%. The broader municipal solid waste management market is expected to grow from USD 7.85 billion in 2025 to about USD 10.37 billion by 2030, at a CAGR of 5.7%. The widest category, encompassing all waste streams, is estimated at USD 13.56 billion in 2025, increasing to roughly USD 18.95 billion by 2032 with a CAGR of around 4.8%. Industry insights suggest an annual growth of 6-7% over the next decade, supported by public and private investments totaling around USD 10 billion by 2025, driven by increasing regulation, urbanization, and government funding that are collectively fueling sustained demand for advanced waste processing and energy recovery infrastructure.

Policy and public investment: the demand engine

The sectors demand is anchored in a coherent stack of national policy and public spending. Because sanitation and solid-waste management are municipal functions, delivery rests with urban local bodies (ULBs), but the Union government sets the direction and much of the funding.

Swachh Bharat Mission-Urban 2.0.: SBM-Urban 2.0, the sectors centerpiece, was approved with a ?1,41,600 crore budget (?36,465 crore central) for 2021-22 to 2025-26, more than double the previous phase. Its goal is to make all cities garbage-free by 2026 through source segregation, Material Recovery Facilities, waste processing, and remediation of legacy dumpsites, freeing about 14,000 acres of land from 15 crore tonnes of waste. A “Zero Dumpsite” initiative supports this mandate. The Missions scale ensures a pipeline of new processing and treatment capacity.

The regulatory framework: The Solid Waste Management Rules, 2016 laid the foundation by mandating segregation, transport, treatment and scientific disposal, with ULBs and pollution-control boards responsible for enforcement. A revised set of solid-waste rules taking effect from October 2025 tightens this further, mandating segregation at source, imposing penalties for non-compliance and strengthening enforcement, changes that improve feedstock quality for downstream processors. Complementary rules for plastic, e-waste and construction-and-demolition waste extend the regulatory perimeter and create adjacent processing markets.

MNRE National Bioenergy Programme: The Ministry of New and Renewable Energy runs the National Bioenergy Programme (2021-26), with a budget of about ?1,715 crore, whose Waste to Energy component offers Central Financial Assistance (CFA) for recovering energy, as biogas, Bio-CNG or power, from urban, industrial and agricultural waste. An important nuance for MSW-to-power operators is that MSW incineration and RDF-based thermal power projects are not eligible for this CFA; instead, such projects rely on municipal support under SBM, viability-gap grants, tipping fees, and power-purchase tariffs. The scheme is nonetheless a significant driver of the fast-growing bio-methanation and Compressed Biogas (CBG) segment.

GOBARdhan, SATAT and the CBG push: Government initiatives to promote Compressed Biogas (CBG) from organic and urban waste are rapidly expanding. By November 2025, a total of 59 CBG plants with a combined capacity of approximately 684 TPD were operational, along with additional biomass and bio-power facilities. Notably, flagship projects like the Indore GOBARdhan plant, one of Asias largest, generating about 17,000 kg of Bio-CNG daily from organic waste, exemplify the resource-recovery approach. This model presents a natural opportunity for established waste-to-energy operators to expand their activities.

Waste-to-energy: the energy-recovery opportunity

Waste-to-energy (WtE) diverts waste from landfills while producing renewable power but remains underused. MNRE estimates its energy potential at 5,690 MW from urban and industrial waste, with urban solid waste contributing 1,247 MW. Indias current WtE capacity is modest, only a few hundred MW, mostly in a few MSW-to-power plants, showing a large gap between potential and deployment. According to the Ministry of Housing and Urban Affairs, about 249 WtE facilities are operational, with more under construction, but large MSW-to-power plants are limited.

Three technology routes dominate. Mass-burn incineration and refuse-derived fuel (RDF) combustion recover heat from non-recyclable, higher-calorific MSW to raise steam and generate power, and are best suited to large metropolitan waste streams. Biomethanation (anaerobic digestion) converts segregated organic waste into biogas, Bio-CNG or power, and is scaling quickly under CBG incentives. Emerging thermal routes such as gasification and pyrolysis are being adopted selectively to improve efficiency and emissions performance. The clear untapped capacity, combined with the governments mandate to remediate more than 2,000 legacy landfill sites, points to a sustained rollout of new, technologically advanced treatment facilities.

Business model and sector economics

MSW-to-energy projects are typically developed on long-term concessions, build-own-operate models, or public-private partnerships awarded by ULBs. They earn revenue mainly from tipping fees paid by municipalities for waste treated and tariffs for electricity sold to utilities under power-purchase agreements. These projects are capital intensive, with mid-sized MSW-to-power plants costing hundreds of crores. Viability depends on concession grants, viability-gap funding, a steady waste supply with adequate calorific value, and firm offtake. Since counterparts are public bodies, municipalities and discoms, receivables management and payment cycles influence operations. Plant load factor and availability drive project economics. The sector rewards operators with proven execution, multi-geography experience, and disciplined project management, qualities that distinguish established platforms in this still-nascent industry.

Key trends shaping the sector

Several themes are reshaping how projects are structured, and are directly relevant to the Companys strategy:

• Circular economy and resource recovery: Policy and commercial momentum are moving the sector beyond single-purpose power plants toward integrated resource recovery, CBG, compost, recyclables and refuse-derived fuel, broadening revenue beyond electricity.

• Improving feedstock through segregation: Tighter source-segregation rules and MRFs are gradually raising the calorific quality and consistency of MSW feedstock, improving the efficiency and reliability of energy-recovery plants.

• PPP and concession-led delivery: SBM 2.0 explicitly encourages private-sector participation and outcome-based funding, and cities are increasingly bundling long-tenure concessions with treatment obligations, favouring operators with balance-sheet strength and life-cycle execution capability.

• Digitalisation: GIS-mapped waste infrastructure, real-time process monitoring, data analytics, and predictive maintenance are integrated to enhance plant reliability, decrease downtime, and ensure environmental compliance.

• Expansion beyond metros: While large metropolitan regions and state capitals remain the primary demand centres, rapidly urbanising tier-II cities are emerging as the next wave of demand for advanced waste-processing infrastructure.

Outlook

The outlook for the waste-to-energy sector remains favourable, underpinned by accelerating urbanisation, rising waste volumes, tightening environmental regulation, the legacy-remediation mandate under SBM 2.0 and the Government of Indias renewable-energy and net-zero priorities. With installed WtE capacity still far below the MNRE-estimated potential of about 5,690 MW, and a national commitment to garbage- free cities, the medium-term pipeline for new treatment and energy-recovery capacity is substantial, and increasingly complemented by adjacent CBG and resource-recovery opportunities.

The sector faces risks like dependence on concession and power-purchase agreements with public entities, exposure to policy changes, long receivable cycles from municipal bodies, the capital-intensive nature of projects, variability in waste supply and calorific value, and emissions and compliance issues. For a leading operator with extensive experience and proven execution, the large processing gap, strong policy support, and shift toward resource recovery offer significant multi-year growth potential.

Company overview

JITF Infralogistics Limited (“JITF Infralogistics” or “the Company”) is the listed holding company for the infrastructure vertical of the O.P. Jindal Group, one of Indias largest industrial conglomerates. The Company operates through a portfolio of subsidiaries and step-down subsidiaries across three reporting segments, Urban Infrastructure, Water Infrastructure and Trading Activities, giving it diversified exposure to three of Indias most policy-supported infrastructure themes: the circular economy and waste-to-energy and water security..

The Companys principal operating platforms are:

• JITF Urban Infrastructure Limited (JUIL): The Groups urban-infrastructure holding company and one of Indias largest waste-to-energy (WtE) operators, processing municipal solid waste and generating renewable power through a network of special-purpose vehicles. JUIL accounts for close to half of Indias operational MSW-to-energy processing capacity.

• JWIL Infra Limited (JWIL): The Groups holistic water-management platform, executing engineering, procurement and construction (EPC) projects across drinking water, irrigation, wastewater and industrial effluent treatment, and benefiting from the Groups in-house access to ductile-iron and MS pipe manufacturing via Jindal SAW.

Through this structure, JITF Infralogistics is positioned as an integrated infrastructure enterprise addressing municipal and industrial needs, underpinned by long-tenured government concessions and EPC contracts.

Key Strategic Priorities for the Company

The Companys strategic agenda for FY2026-27 and the near term is anchored in scaling its operating platforms, deepening government-backed order books and strengthening financial resilience:

• Scaling operational waste-to-energy capacity: Advancing the commissioning of expansion and greenfield WtE projects — including Bawana (36 MW), Jodhpur (10 MW), Kakinada (15 MW) and Nellore (12 MW), alongside brownfield expansions at Okhla and Tehkhand — with the objective of taking the Groups WtE portfolio toward approximately 220 MW.

• Growing the water infrastructure order book: Pursuing drinking-water, irrigation, wastewater and reuse opportunities created by flagship national programmes (Jal Jeevan Mission, AMRUT 2.0, Namami Gange), while leveraging the Groups integrated pipe-manufacturing advantage.

• Diversifying into resource recovery: Selectively evaluating adjacent circular-economy opportunities such as Compressed Biogas (CBG), compost, and refuse-derived fuel to broaden revenue beyond power generation.

• Operational excellence: Sustaining high plant availability and plant load factors across WtE assets, strengthening EPC project-execution capabilities, and driving cost-optimisation and margin- enhancement initiatives across all businesses.

• Financial discipline: Strengthening operating cash generation, tightening working-capital and receivables management (given exposure to municipal and utility counterparties), and maintaining capital-allocation discipline across a capital-intensive project pipeline.

• ESG and stakeholder value: Advancing environmental, social, and governance performance and unlocking value across the Groups infrastructure vertical.

Key Performance Highlights, FY2025-26

JITF Urban Infrastructure Limited (JUIL) — subsidiary

FY2025-26 was a strong operating year for JUIL, which retained its position as Indias largest waste-to- energy operator with an estimated ~50% share of the countrys operational MSW-to-energy processing capacity.

Key highlights:

• Portfolio and capacity: Total WtE portfolio of approximately 220 MW, of which operational capacity stood at about 110 MW during FY2025-26, with the balance expected to be commissioned over the following two years.

• Operating footprint. Six operational plants across four states, Okhla and Tehkhand (Delhi), Jaipur (Rajasthan), Guntur and Visakhapatnam (Andhra Pradesh) and Ahmedabad (Gujarat).

• Waste processed: The six operational plants collectively processed approximately 3.2 million tonnes of municipal solid waste during the year; at full portfolio build-out, the Group is expected to process around 6.0 million tonnes annually.

• Reliability: Plants delivered an industry-leading average plant load factor of approximately 90%, reflecting superior operational standards.

• Milestones during the year: The Guntur plant was upgraded and operated at 20 MW; the Jaipur plant completed its first full year of operations; and construction at the 10 MW Jodhpur greenfield project advanced significantly. Groundwork also commenced on the 15 MW Kakinada, 12 MW Nellore, and 36 MW Bawana projects, as well as the 17 MW Okhla expansion.

Order book visibility

During FY 2025-26, management prioritised execution and development of identified projects over volume-driven order intake. The Companys forward pipeline is anchored by six key growth drivers: the Jodhpur, Bawana (greenfield), Kakinada and Nellore Waste-to-Energy projects, together with the Okhla and Tehkhand capacity-expansion projects.

Indicative SPV-level performance for FY2025-26 (? crore), per the Companys records:

SPV	Revenue	EBITDA	EBITDA Margin	PAT
Okhla	79.18	41.55	52.5%	4.72
Tehkhand	109.74	82.46	75.1%	28.70
Jaipur	62.96	44.99	71.5%	(0.70)
Guntur	95.79	63.59	66.4%	26.59
Visakhapatnam	67.66	35.08	51.8%	5.14
Ahmedabad	68.80	49.60	72.1%	11.10

New concession opportunities continued to be evaluated selectively against strict investment criteria: waste-supply assurance, regulatory clarity, commercial viability, and sustainable capital structures. Collectively, these projects are expected to provide long-term revenue visibility and support future capacity expansion.

JWIL Infra Limited (JWIL) — subsidiary

JWIL delivered on its role as the Groups holistic water-management platform during FY2025-26, executing EPC projects spanning drinking-water supply, irrigation, wastewater and industrial effluent treatment.

Key Financial Highlights

?2,228 crores	?2,243 crores
Revenue from Operations	Total Income (incl. Other Income)
+21% YoY	+18% YoY
?284 crores	12.7%
EBITDA	EBITDA Margin
+29% YoY	Expanded 90 bps
?203 crores	?11,352 crores
PBT (before exceptional items)	Total Order Book (EPC + O&M)
+34% YoY	+123% YoY
?6,922 crores	A Stable
New Order Inflow (FY26)	Credit Rating
17 new projects	Upgraded by CARE & CRISIL
?713 crores	?8,767 crores
Net Worth	EPC Order Book
vs ?556 crore in FY25	+125% from ?3,901 crore
?2,585 crores	9.16%
O&M Order Book	Weighted Average Cost of Borrowing
+116% from ?1,195 crore	Reduced from 10.19%

Qualitative highlights:

• Record high order book: The order book stood at ?11,352 crore as on 31 March 2026, up 2.2x year-on-year, underpinning strong long-term revenue visibility. A healthy mix of EPC (77%) and O&M (23%) work ensures a recurring, annuity-like cash-flow layer alongside project-driven growth.

• Increasing operational leverage: With 11 projects slated for completion in FY27, against just 3 in FY26, the Company is entering a phase of accelerated revenue recognition as execution converts into billing.

• Rating upgrade helped minimise the cost of capital: An upgrade to ‘A Stable by both CARE and CRISIL, combined with the closure of ?450 crore in NABFID debt for the SIPCOT desalination HAM project, signals a structural improvement in the Companys ability to access long-tenure, lower-cost infrastructure financing, a key enabler for future project bidding.

Strategic Priorities for FY27 and beyond

Establishing leadership in the integrated segment: The integrated vertical expanded from one project in FY25 to nine, with major AMRUT and HAM tenders in the pipeline. As the Companys top-margin business (18-25%), shifting the order-book mix from Drinking Water to Integrated is key to margin growth over FY27-FY29.

Building a replicable HAM financing template: The SIPCOT HAM closure, ?450 crore from NABFID with no corporate guarantee, creates a template the Company can reuse for large projects like the Chambal- Alwar cluster (?6,958 crore across four packages) and Chittorgarh. Off-balance-sheet SPVs structure HAM projects, providing annuity cash flows, balance-sheet efficiency, and strong risk-adjusted returns.

Scaling the O&M platform: The O&M order book has grown to ?2,585 crore, building a recurring revenue base distinct from the milestone-driven EPC business. As EPC projects are completed and transition to O&M, this base should scale materially, improving earnings quality, reducing cyclicality, and strengthening the franchise.

Diversifying across geographies and end-markets: The Company is exploring industrial water opportunities in the NTPC, Mahagenco, and SIPCOT zones, as well as new markets in West Bengal, Gujarat (AMC), and Odisha, to diversify beyond a single-state focus. Internationally, the Tanzania project funded by Exim Bank offers a base to expand into other African markets.

Key management priorities

• Accelerate completion of the 11 FY27-targeted projects to convert order book into revenue and cash.

• Strengthen collections to improve cash conversion and reduce working-capital intensity.

• Expand banking limits, primarily through Non-Fund-Based (NFB / BG) facilities.

• Sustain the ‘A Stable rating through disciplined working-capital management and leverage control. Financial review - JITF Infralogistics Limited (JILL)

During the financial year, the company achieved a gross revenue of ? 351.36 lacs, up from ? 364.46 lacs in the previous year. The net profit for the financial year stood at ? 22.51 lacs, compared with ? 28.47 lacs in the previous year. At the consolidated level, the Company achieved a gross revenue of ? 2,80,802.29 lacs, up from ? 2,26,481.04 lacs in the previous year. The net profit for the financial year stood at ? 993.47 lacs, compared with a net loss of ? 2,442.99 lacs in the previous year.

Consolidated Financial Performance Summary (? in Cr)

	FY26	FY25	% Change
Revenue	2808.02	2264.81	24%
EBIDTA	604.43	448.98	35%
Depreciation	102.54	78.83	31%
Finance cost	401.28	352.18	14%
Profit before Tax (PBT)	100.59	17.96	455%
Profit after Tax (PAT)	(9.93)	(24.42)	58%

Risk Management at JITF Infralogistics Limited

The Company operates a structured, enterprise-wide risk-management framework overseen by the Board and its Risk Management and Audit Committees, designed to identify, assess, monitor and mitigate risks across its diversified infrastructure businesses. Given the capital-intensive, long-gestation and government-facing nature of its operations, the principal risk categories and the Companys mitigation approach are set out below.

• Concession, tariff and policy risk: The Groups WtE and water businesses depend on concession agreements, waste-supply and tipping-fee arrangements, and power-purchase agreements with public-sector counterparties. Changes in tariff regulation, renewable energy policy, or concession frameworks could affect returns. Mitigation: robust contractual frameworks, diversified geographic exposure, and proactive engagement with regulators and grantor authorities.

• Receivables and counterparty risk: A significant portion of receivables relates to municipal bodies and power distribution companies, whose payment cycles can be affected by procedural approvals and reconciliations. Mitigation: strengthened billing discipline, stakeholder engagement, and liquidity planning.

• Project execution and development risk: New WtE and water, projects carry construction, commissioning, land acquisition, and statutory clearance risks, as well as delays in tariff approvals.

Mitigation: disciplined project management, phased capital deployment aligned to approvals and financing, and experienced execution teams.

• Financing and interest-rate risk: The capital-intensive project pipeline entails exposure to financing availability and interest-rate movements. Mitigation: diversified funding, promoter support, and balance-sheet discipline.

• Commodity and input-cost risk: Steel and other input prices affect water-EPC (pipe) businesses. Mitigation: Group-level integration (in-house pipe and steel access), procurement optimisation and contractual price-adjustment mechanisms where available.

• Feedstock and waste-supply risk: WtE plant economics depend on assured municipal waste supply of adequate calorific value; incomplete source segregation can affect feedstock quality. Mitigation: contractual waste-supply assurances and process design suited to Indian MSW.

• Regulatory, environmental and litigation risk: Emissions norms, environmental compliance and contingent liabilities/litigation are inherent to the sector. Mitigation: advanced emission-control systems, continuous compliance monitoring and active management of legal matters.

Information Technology

The Company continues to strengthen its information technology and digital backbone to support operational reliability, financial control, and decision-making across a geographically dispersed portfolio. Key elements include enterprise resource planning (ERP) systems that integrate finance, procurement, and project management; plant-level automation and control systems (including SCADA) across waste- to-energy assets; and data-driven performance monitoring.

The Companys forward digitalisation roadmap emphasises advanced process monitoring, real-time performance dashboards and analytics; predictive and condition-based maintenance to reduce unplanned downtime; digital environmental compliance monitoring and reporting; and continued strengthening of cybersecurity and data protection controls. These initiatives are expected to improve plant reliability, support cost-optimisation objectives and enhance ESG performance.

Internal control and internal audit systems and their adequacy

The Company has a solid system of internal controls that matches its size, scale, and complexity. These controls are designed to protect assets, ensure accurate financial reporting, promote operational efficiency, and comply with laws and regulations. Internal financial controls over reporting are regularly reviewed and tested for effectiveness.

An independent internal audit team, sometimes supported by external auditors, conducts risk-based audits across the Companys business units and subsidiaries. The Audit Committee of the Board reviews the audit findings, managements responses, and remedial actions. They oversee the strength of the internal control environment. Controls and processes are continuously improved to keep up with business growth, changing risks, and regulatory standards.

Human resource and industrial relations

The Company regards its people as central to the safe and reliable operation of its infrastructure assets and the successful execution of its projects. Its workforce spans skilled plant operators and maintenance engineers across the waste-to-energy portfolio, EPC and design professionals in the water business, and manufacturing personnel in the rail-wagon segment.

During FY2025-26, the Company continued to invest in skilled manpower development, technical training, and capability building to support plant reliability, project execution, and its cost-optimisation and ESG objectives. Employee-engagement initiatives were undertaken across sites. Industrial relations remained cordial and harmonious throughout the year, with no material disruptions to operations.

Health and safety measures

The Company accords the highest priority to the health and safety of its employees, contractors, and the communities around its operations. Across its waste-to-energy plants, water-project sites, and manufacturing facilities, the Company maintains safety-first operating practices, including structured safety protocols, the use of personal protective equipment, regular safety training and drills, and hazard identification and risk assessment processes.

The Companys environmental safety measures, including advanced flue-gas cleaning and emission- control systems at its WtE plants, protect both worker health and surrounding communities and support compliance with applicable pollution-control norms. Employee-wellbeing initiatives, including periodic health check-up camps at operating sites, complement these efforts. The Company remains committed to maintaining the highest standards of safety, regulatory compliance, and environmental stewardship.

Cautionary statement

The statements in the Management Discussion and Analysis section describing organisational objectives, projections, estimates, and prediction may be considered as forward-looking statements. All statements that address expectations or projections about the future, including, but not limited to, statements about the Companys strategy for growth, product development, market positioning, expenditures and financial results, are based on certain assumptions and expectations of future events. The Company cannot guarantee that these assumptions and expectations are accurate or will be realised. The Companys actual results, performance, or achievement may thus, differ materially from those projected in such forward looking-statements. The Company assumes no responsibility to publicly amend, modify or revise any forward-looking statement on the basis of any subsequent developments, information or events. To avoid duplication and repetition, certain heads of information required to be disclosed in the Management Discussion and Analysis have been included in the Boards Report.